System and method for applying lottery multipliers

ABSTRACT

A system, method, and ticket for a lottery player to increase a payout received for winning a lottery game is disclosed. A request to purchase a set of play indicia (e.g. lottery numbers) and to associate the play indicia with a multiplier is received from a player. Data relating to the set of play indicia and data identifying the multiplier are stored in a memory where they are logically associated with each other. A purchase price is determined for the multiplier based upon various factors including the expected value of the multiplier as applied to a lottery ticket. The set of play indicia may be for a drawing-type lottery game and/or an instant-type lottery game and may be defined by characters and/or other representations. An embodiment of the present invention also includes a computer system having a memory for storing data related to the lottery game and having a processor in communication with the memory. The processor is operative to store data in the memory identifying a first set of play indicia, a second set of play indicia, and a multiplier. Further, the processor is operative to associate the first set of play indicia and second set of play indicia with the multiplier and calculate a purchase price for the multiplier. Further, the processor is operative to apply the multiplier to redemption values of one or more sets of play indicia associated with the multiplier according to various different algorithms to compute a payout amount to award a lottery player.

FIELD OF THE INVENTION

The present invention relates generally to the sale of lottery ticketsand, more particularly, to a system and method for distributingmultiplier tickets which can be applied to a winning lottery ticket toincrease its redemption value.

BACKGROUND

On Apr. 30, 1963, State Representative Larry Pickett succeeded inlobbying the New Hampshire State Legislature and then Governor John Kingto pass the first state lottery act. After local town and city approvalwas granted, Lottery tickets went on sale Mar. 12, 1964, thereby markingthe beginning of modern lotteries in the United States. The lottery wasviewed as a viable and voluntary method of raising revenue for educationand in fact, between 1964 and 1999, the New Hampshire State Lotteryalone has generated more than half a billion dollars for education.

The early lotteries were mainly drawing-type lotteries in which lotteryplayers selected sets of numbers and then a lottery game provider, suchas a state lottery authority, periodically conducted random drawings todetermine a winning set of lottery numbers. In 1970, the New JerseyLottery was the first state to increase the frequency of lotterydrawings to a weekly drawing. Presently, there are multiple drawingsheld daily by lottery game providers for many different drawing-typelottery games—from daily pick-three and pick-four drawings, toQuickdraw™-type games, wherein a drawing is conducted as often asseveral times an hour.

Since the inception of drawing-type lotteries, thirty-seven other stateshave initiated and continue to conduct such lotteries. These lotterieshave been a tremendous success. For example, the net income ofdrawing-type lotteries in the United States topped $12.5 billion for theyear 1998.

In addition to drawing-type lottery games, instant-type lottery gameshave become popular and have generated a significant amount of revenuefor several lottery jurisdictions. As is well known, instant-typelottery games allow a lottery player to purchase lottery tickets andreveal outcomes that are predetermined by lottery game providers. Atypical instant-type lottery ticket includes a set of characters,numbers, symbols, and/or messages printed thereon that are configured inaccordance with a particular set of game rules. The characters, numbers,symbols, or messages are for example covered with an opaque materialsuch as latex that may be removed by a lottery player to reveal whetherthe instant-type lottery ticket is a winning ticket. As withdrawing-type lottery games, instant-type lottery games have generatedsignificant sales. For example, national sales of instant-type lotterytickets topped $13.8 billion for the year 1998, thereby positioninginstant-type lottery tickets as a major source of revenue for lotterygame providers.

Despite the success of the various types of existing lottery games,there exists several inherent disadvantages that prevent lottery gameproviders from further increasing profits. More specifically, existinglottery games do not enable lottery players to actively participate ininfluencing the payout amount of a winning lottery ticket. Instead,existing games manipulate probability more than payout.

For example, a lottery player of a drawing-type lottery game receives apredetermined payout based in large part on the probability of havingselected a set of numbers drawn by a lottery game provider. Lotteryplayers are generally hot permitted to actively participate indetermining the amount of payout received for a winning ticket.Similarly, a lottery player of an instant-type lottery game receives apredetermined payout based on matching a particular combination of theseveral characters, numbers, symbols, or messages of an instant-typelottery ticket that he purchases. Thus, lottery players cannot activelyparticipate in changing the payout amount received for a winninginstant-type lottery ticket. For a detailed description of howconventional lotteries operate see “Dr. Z's 6/49 Lotto Guidebook” by Dr.William T. Ziemba et al., 1986, printed by Ronalds Printing, publishedby Dr Z Investments Inc., which is hereby incorporated by referenceherein.

Another disadvantage associated with the various types of lottery gamesthat has limited further growth is the difficulty that lottery gameproviders have in maintaining the game players' interest in existinglottery games. As one might expect, many lottery games have a limitedlife-span during which game players' level of interest in the game isinitially quite high but tapers off over time. To retain theparticipation of game players, lottery game providers must continuallyintroduce new lottery games.

As a negative consequence of introducing new lottery games, however,some lottery players discontinue playing some of the older lottery gamesin order to participate in the newly introduced games. In such cases,some of the older lottery games often become too expensive to maintain,or otherwise lose popularity among players, and must be discontinued.This results in a substantial expense to lottery game providers in thatthe unused lottery ticket inventories must be discarded or destroyed,investments in targeted advertisements for the canceled lottery game areabandoned, and other economic losses are incurred.

Attempts have been made to eliminate some of the above describeddisadvantages. For example, U.S. Pat. No. 5,613,679, filed Nov. 17, 1995

and issued Mar. 25, 1997 to Casa, et al., (hereinafter refer to as “the'679 patent”), discloses a lottery game wherein a primary drawing forwagering lottery players followed by a secondary drawing fornon-wagering public entities such as schools or hospitals. The winninglottery player and winning public entity receive predetermined cashprizes. An object of having the secondary drawing for a non-wageringpublic entity is to make the cause and effect relationship between thelottery players' participation in the lottery game and the benefit ofthe lottery game to public entities more tangible to the lotteryplayers. A further object is to more particularly and directly focus theincome generated by the lottery to public entities sought to bebenefited by the lottery game provider.

In an embodiment of the '679 patent, a lottery player selects a set ofnumbers. Thereafter, a bonus number is randomly selected by a lotterygame provider and appended to the set of numbers. If the set of numbersselected by the player is drawn by the lottery game provider, then thelottery player receives a predetermined payout. In addition, if therandom bonus number that was appended by the provider is also drawn bythe lottery game provider, then the payout is multiplied by the randomlyselected bonus number.

The '679 patent falls short of eliminating the disadvantages associatedwith the various types of lottery games available. That is, inattempting to maintain the public's interest in existing lottery games,it is erroneously assumed that lottery players are primarily encouragedto participate in lottery games if the players see that a portion oftheir wagering dollars are going directly to public entities.Furthermore, the addition of a bonus number alone does not significantlyencourage lottery players to participate in lotteries. The lotterydisclosed in the '679 patent does not allow lottery players to influencethe size of the bonus number.

Another attempt to eliminate some of the disadvantages described aboveincluded an incentive promotion introduced by the Washington StateLottery as described in an article published in The News Tribune,Tacoma, Wash. (Jun. 24, 1996). The article described a “Double Lotto”promotion, where the potential payouts were doubled if lottery playerspaid one extra dollar over the regular one dollar price of a lotteryticket. This promotion was not always fair to the players because thefixed cost to participate was not based on the potential winnings—therisk versus reward ratio was out of the player's control. Thus, as withthe '679 patent, this promotion did not provide enough opportunity forplayer choice to allow players to effectively and fairly participate ininfluencing the payouts.

Thus, there exists a need for an improved method for operating lotteriesthat will enhance existing lottery games and allow the creation of newlottery games that do not adversely affect the sale of, or shorten thelife of, existing lottery games. In addition, there is a need forlottery games that encourage lottery players to play lottery games andprovide players alternative ways to actively participate in influencingthe payout for a winning lottery ticket.

SUMMARY OF THE INVENTION

The present invention includes a system and method to allow a lotteryplayer to increase a payout received for winning a lottery game. Amethod includes a lottery game provider receiving a request from alottery player to purchase a multiplier and set of play indicia, and toassociate the multiplier with the set of play indicia. Data relating tothe set of play indicia and data identifying the multiplier are storedin a memory, wherein the data are logically associated with each other.The set of play indicia has a predetermined purchase price. A purchaseprice is determined for the multiplier based upon a plurality offactors. Thereafter, the lottery player pays the lottery game providerfor the set of play indicia and the multiplier.

The set of play indicia may be for a drawing-type lottery game anddefined by at least one of characters, numbers, symbols, patterns, andmessages. Alternatively, the set of play indicia may be for aninstant-type lottery game and defined by at least one of characters,numbers, symbols, patterns, and messages.

The method can further include transmitting the data relating to the setof play indicia and the data identifying the multiplier between at leastone of a lottery server/player terminal pair and a lotteryserver/lottery terminal pair.

In a preferred embodiment, the purchase price for the multiplier isbased on an expected value of a set of play indicia and the magnitude ofthe multiplier. The expected value of a set of play indicia is based inpart upon the probability of a set of play indicia winning, multipliedby the value of winning play indicia, multiplied by a sharing discount.

The multiplier may have a magnitude of at least one of: a fractionalnumber, an integer, and a mixed number. In addition, the multiplier maybe applied to the redemption value of a set of play indicia based uponthe outcome of a particular event or condition. In other words, themultiplier magnitude may vary based on at least one of: the locationfrom which the set of play indicia is purchased, the value of the set ofplay indicia, the type of lottery game, the outcome of one or moreexternal events, and a predetermined time frame. Furthermore, themultiplier may have a magnitude of one (1) when the value of the set ofplay indicia falls outside a range between certain predetermined values.In other words, the multiplier can be rendered ineffective if, forexample, the winnings exceed a certain predefined amount.

The method may further include inputting the data relating to the set ofplay indicia and the data identifying the multiplier, wherein the stepof inputting the data may include at least one of: scanning a bar codeconfigured to represent the data, keying in the data, and receiving thedata from a terminal, a server, and/or a network.

In addition, the present invention includes a method for a lottery gameprovider to receive a set of play indicia that had been previouslyassociated with one or more multipliers from a lottery player. Datarelating to the set of play indicia is stored in a memory. The datarelating to the set of play indicia is then compared with dataidentifying a winning set of play indicia to determine a value for theset of play indicia. The value of the set of play indicia is applied tothe multiplier to determine a payout. Thereafter, the lottery gameprovider pays the lottery player the payout.

The present invention also includes a computer-readable storage mediumencoded with processing instructions for directing a computer to storedata relating to a set of play indicia in a database file thatidentifies sets of play indicia. In addition, data identifying amultiplier is stored in a field of the database file that identifiesmultipliers. The set of play indicia is thus associated with themultiplier. Thereafter, the purchase price of the multiplier iscalculated.

Furthermore, the present invention includes a computer-readable storagemedium encoded with processing instructions for directing a computer tostore data relating to a set of play indicia in a memory. Dataidentifying a winning set of play indicia is then retrieved and alsostored in the memory. The data relating to the set of play indicia iscompared with the data identifying the winning set of play indicia todetermine a value for the set of play indicia. It is then determinedwhether a multiplier is associated with the set of play indicia.Thereafter, the value of the set of play indicia is established inaccordance with the multiplier.

The present invention also includes a computer system having a memoryfor storing data related to a lottery game and having a processor incommunication with the memory. The processor is operative to store datain the memory, the data identifying a first set of play indicia, asecond set of play indicia, and a multiplier. Further, the processor isoperative to associate the first set of play indicia and the second setof play indicia with the multiplier and to calculate a purchase pricefor the multiplier. The present invention further includes a lotteryticket for use with the systems and methods of the present invention.

These and other systems and methods are illustrated in the appendedFigures and described below in the detailed description of theembodiments of the present invention.

BRIEF DESCRIPTION OF THE DRAWINGS

So that those of ordinary skill in the art to which the subjectinvention pertains will more readily understand how to make and use thesystem and method described herein, preferred embodiments of theinvention will be described in detail with reference to the followingdrawings, wherein:

FIG. 1 is a block diagram of an example of a network that could be usedin an embodiment of the present invention;

FIG. 2 is a block diagram of an example of the lottery server shown inFIG. 1,

FIG. 3 is a sample table illustrating exemplary contents and structureof an example of a registration database that is configured inaccordance with an embodiment of the present invention;

FIGS. 4A through 4D are example depictions of lottery tickets that couldbe used with some of the embodiments of the present invention;

FIG. 5 is sample table that illustrates exemplary contents and structureof a winning numbers database that is configured in accordance with anembodiment of the present invention;

FIG. 6 is an example of a table that illustrates the contents of awinning tickets database that is configured in accordance with anembodiment of the present invention;

FIG. 7 illustrates a flow diagram of an example method for selling oneor more drawing-type lottery tickets or instant-type lottery tickets inaccordance with an embodiment of the present invention; and

FIG. 8 illustrates a flow diagram of an example method for redeeming oneor more drawing-type lottery tickets or instant-type lottery tickets inaccordance with an embodiment of the present invention.

DETAILED DESCRIPTION OF THE PREFERED EMBODIMENTS

Reference is now made to the accompanying Figures for the purpose ofdescribing, in detail, the embodiments of the present invention. TheFigures and accompanying detailed description of the embodiments areprovided as examples of the invention and are not intended to limit thescope of the claims appended hereto.

The present invention provides a novel and unique system and method thatwill benefit lottery game providers, lottery retailers, and lotteryplayers. Generally, the present invention provides a system and methodfor a lottery player to obtain (e.g. purchase and/or win) a multiplierthat may be applied to the monetary or other redemption value of awinning lottery ticket to affect the payout awarded for the winninglottery ticket. (Note that there are embodiments of the presentinvention that are described below in which the payout for a winninglottery ticket decreases as a result of a multiplier being applied tothe redemption value.) Those skilled in the art will readily appreciatethat the present invention can be applied to any type of lottery game.However, for the sake of brevity, the examples discussed below will bedescribed using basic drawing-type lottery game and basic instant-typelottery game embodiments.

A. Definitions

Throughout the description that follows, the term “multiplier” shallrefer to a multiplication operator (i.e., “×”) and a fractional number(e.g., “¼”, “½”, “½”, “¾”, “0.9”), an integer (e.g., “1”, “2”, “−3”,“0”), or a mixed number (e.g., “1¼”, “4.666”, “1½”, “2¾”) that may beobtained (e.g., purchased or won) by a lottery player and applied to(for example, multiplied by) the value of a winning lottery ticket. Theterms “multiplier magnitude”, “multiplier size” and “multiplier amount”shall be considered to have the same definition which is the numericvalue portion of the multiplier (e.g., the “4” is the magnitude of a“4×” multiplier).

The terms “redemption value” and “value” shall refer to any type ofprize that can be awarded to a lottery player. As used herein, such anaward will usually be either a monetary amount or a multiplier. However,a redemption value can include anything with a value such as anautomobile or even additional play indicia. The term “case redemptionvalue” shall refer to an award of a monetary amount. The term “payout”shall refer to an actual amount of value to be given to a lotteryplayer. More specifically payout refers to the final sum to be paid to aplayer once a multiplier has been applied to a redemption value.

The term “lottery ticket” or “ticket” shall refer to any type of ticket,including an electronic representation of a ticket, used in any type oflottery game offered by a lottery game provider. As noted above, thereare two basic types of lottery games that are popular—drawing-typelottery games and instant-type lottery games. These lottery gamesinclude any number of variations and combinations. The present inventioncan be applied to these and other types of lottery games.

The term “drawing-type lottery ticket” shall refer to a lottery ticketfor a drawing-type lottery game.

The term “instant-type lottery ticket” shall refer to a lottery ticketfor an instant-type lottery game.

The term “ticket identifier” shall refer to an identification code, forexample, a bar code or a series of alphanumeric characters that is usedto uniquely identify a lottery ticket.

A lottery ticket may be formed as one or more cards which are made ofpaper, cardboard, plastic, or any other suitable material and includeidentification and game playing information printed thereon.Alternatively, lottery tickets may be represented magnetically,optically, or electronically. For example, lottery tickets may berepresented as electronic characters or images in a memory or on a videomonitor that are generated and stored on a computer or other portableinformation device. Furthermore, electronic lottery tickets may be usedin a lottery game conducted over a computer network such as theInternet. Further, tickets may be embodied as magnetic stripes on cards,patterns on magneto-optical media, and/or bit patterns in a smart cardor electronic, magnetic, or optical circuit.

The term “drawing-type lottery game” shall refer to a particular type oflottery game, wherein lottery players purchase lottery tickets whicheach include one or more sets of characters thereon. A lottery ticketfor a drawing-type lottery game may include play indicia, for example,that includes a set of six numbers selected from the numerals in therange between one and forty-four, inclusive. Lottery tickets aretypically purchased from lottery providers through lottery ticketretailers at a fixed price. Examples of lottery ticket retailers includeconvenience stores, delicatessens, markets, supermarkets, and onlinelottery web sites.

Lottery game providers, such as the New Jersey Lottery, typicallyauthorize and support lottery ticket retailers' sale of lottery tickets.At a typical drawing held by a lottery game provider, six numericcharacters are randomly drawn. Participating lottery players compare thenumeric characters on their lottery tickets acquired before the drawingwith those numeric characters selected at the drawing. The lotteryplayers possessing a ticket with a sufficient number of matching numericcharacters as defined by the particular lottery's rules, win a prize(typically a monetary prize) also as defined by the lottery's rules.

The term “instant-type lottery game” shall refer to lottery games thatutilize lottery tickets which may be purchased and altered in order toreveal whether a monetary prize has been won. These lottery ticketsusually have characters, numbers, symbols, or messages printed thereonthat lottery players expose by removing an opaque coating such as alatex compound. Instant-type lottery tickets may alternatively utilizepull-tabs to cover the characters, numbers, symbols, or messages.

An example of an instant-type lottery game includes a lottery tickethaving nine characters, numbers, symbols, or messages arranged thereonas a three-by-three matrix, wherein a ticket having three like symbolsin any vertical, horizontal, or diagonal row is considered a winninglottery ticket. Another example of an instant-type lottery game includesa lottery ticket that simulates the play of a conventional bingo game.Such a lottery game is described in U.S. Pat. No. 5,641,167 filed Jul.22, 1994 and issued Jun. 24, 1997 to Behm, et al., the content of whichis incorporated herein by reference.

The term “play indicia” shall refer to a character, number, symbol, ormessage on either a drawing-type lottery or an instant-type lotteryticket. The term “lottery numbers” is used synonymously with the term“play indicia” herein.

The term “set of play indicia” shall refer to sufficient play indicia toallow a lottery player to participate in at least a single play of aparticular type of lottery game. For example, in a six numberdrawing-type lottery game, six numbers represent a set of play indicia.FIG. 4A of the present application illustrates one embodiment of alottery ticket for such a drawing-type lottery game. Furthermore, in athree-by-three instant-type lottery game, nine characters, numbers,symbols, or messages may be considered a set of play indicia. FIG. 4B ofthe present application illustrates one embodiment of a lottery ticketfor such an instant-type lottery game. The terms “set of numbers” and“set of lottery numbers” are used synonymously with the term “set ofplay indicia” herein.

The term “subset of play indicia” shall refer to a portion of the set ofplay indicia sufficient to allow a lottery player to possibly win aprize in at least a single play of a particular type of lottery game.For example, in the six number drawing-type lottery game mentionedabove, there is typically a prize awarded for matching three, four,five, or six of the drawn lottery numbers. In such a game, three lotterynumbers or play indicia would represent one example of a subset of playindicia.

Those skilled in the art will readily appreciate that a single lotteryticket may include several sets of play indicia. For example, a singledrawing-type lottery ticket may include five sets of play indicia,thereby providing a lottery player five opportunities to match the setof lottery numbers drawn by a lottery game provider. FIG. 4A illustratesa drawing-type lottery ticket that includes five sets of play indiciaprinted thereon.

The term “multiplier set of play indicia” shall refer to a set of playindicia having a multiplier, instead of a monetary or other prize, as aredemption value. The magnitude of the multiplier that is awarded for awinning multiplier set of play indicia may not be known to the playerbeforehand or it may be selected by the player at the time he purchasesthe multiplier set of play indicia. Alternatively, the magnitude of themultiplier that is awarded may be determined by an external conditionsuch as the level of a stock market or the outcome of a professionalsporting event.

The term “multiplier ticket” shall refer to a ticket that includesinformation thereon for identifying a multiplier that is purchased orwon by a lottery player. In addition, a multiplier ticket may includeone or more ticket identifiers that identify lottery tickets. As notedabove, the term multiplier rears to a fractional number, an integer, ora mixed number combined with a multiplication operator that may bepurchased by a lottery player and applied to the value of a winninglottery ticket. A multiplier ticket can include one or more sets of playindicia.

Multiplier tickets may be formed as one or more cards or portionsthereof which are made of paper, cardboard, plastic, or any othersuitable material. Alternatively, multiplier tickets can be representedelectronically. For example, multiplier tickets may be represented aselectronic characters or images in a memory or on a video monitor thatare, generated and stored on a computer or other portable informationdevice. Furthermore, electronic multiplier tickets may be used in alottery game conducted over a computer network such as the Internet.

The term “winning lottery ticket” shall refer to a lottery ticket thathas a redemption value after a lottery drawing or play, for example. Theterm “losing lottery ticket” shall refer to a lottery ticket that has novalue after a lottery drawing or play. A drawing-type lottery ticketwill have a redemption value and will therefore be considered a winninglottery ticket if a set or subset of play indicia related thereto aredrawn by a lottery game provider in accordance with rules set forth bythe lottery game provider. An instant-type lottery ticket will have aredemption value and will therefore be considered a winning lotteryticket when for example, a set of play indicia related thereto isarranged in a manner that conforms with the rules of the particularlottery game which define it as such.

The term “void if removed number” (hereinafter referred to as “VIRN”)shall refer to an identifier used on instant-type lottery tickets. TheVIRNs are found, for example, under the scratch-off latex and are usedin conjunction with ticket identifiers to verify the validity of winninginstant-type lottery tickets.

The term “batch” shall refer to sets of play indicia, ticketidentifiers, multipliers, and/or multiplier sets of play indicia thatare logically or otherwise associated with one another. As will becomemore apparent below, there are several advantages to batching sets ofplay indicia, ticket identifiers, and/or multipliers. For example,batching facilitates methods of calculating a price for a multiplier.Furthermore, batching prevents lottery players from attempting to applymultipliers to winning lottery tickets purchased by other lotteryplayers, and vice versa. The term “associate” as used herein issynonymous with the term batch.

Tickets may be batched (or associated) at the time they are purchased bylottery players. For example, sets of lottery numbers chosen by alottery player to play a drawing-type lottery game may be batched priorto (or after) being printed as associated sets of play indicia onto oneor more lottery tickets. Likewise, instant-type lottery tickets or setsof characters, numbers, symbols, or messages chosen by a lottery playerto play an instant-type lottery game may be batched prior to beingpurchased. Instant-type lottery tickets may be batched, for example, byscanning bar code information from each instant-type lottery ticket intoa lottery terminal. In another example of batching, a player can haveseveral different tickets or sets of play indicia for different types oflottery games with different drawing dates or other play outcomedetermination events associated together at any time after the purchasebut before the play outcome determination events.

The term “apply” (as in “apply a multiplier to a value”) shall refer toaltering the value based upon the multiplier size and a set of rulesthat can be defined by a lottery game provider for a particularmultiplier or lottery. In a basic embodiment of the present invention,applying a multiplier to value can simply mean multiplying the value bythe magnitude of the multiplier. However, in another embodiment,applying a multiplier can include different operations such asmultiplying weighted percentages of the multiplier by a set of valuesassociated with the multiplier, for example.

B. The System

Referring now to the Figures wherein like reference numerals identifysimilar elements, there is illustrated in FIG. 1 a block diagram of anexample system 10. System 10 can include a lottery server 12 which maybe under the control of a lottery game provider such as the New JerseyLottery. In general, the lottery server 12 may include databases whichthemselves include data supporting one or more lottery games, programsfor processing the data, processing and communications hardware, etc.More details concerning the lottery server are provided below.

In communication with the lottery server 12 are one or more lotteryterminals 14(1) through 14(N) which are typically operated by lotteryretailers such as convenience stores, delicatessens, and markets. Alsoin communication with the lottery server 12 are one or more playerterminals 16(1) through 16(N) which may be operated by lottery playersto directly input a request to purchase lottery tickets.

Those skilled in the art will appreciate that any of various differentnetworking systems can be used to provide communication between thelottery server 12, terminals 14(1) through 14(N) and 16(1) through16(N). Such systems may include, but are not limited to, dedicatedpoint-to-point connections, wireless connections, intranet connections,and Internet connections.

Referring to FIG. 2, a block diagram of the lottery server 12 is shownin communication with lottery terminal 14(1). The lottery server 12includes a processor 30 which executes application programs of thepresent invention. Lottery server 12 may also include a read only memory(“ROM”) 32 and a random access memory (“RAM”) 34, collectively referredto herein as memory. The memory 32, 34 may be used to store at least aportion of the program instructions of the application programs that areto be executed by the processor 30, such as portions of an operatingsystem and for temporary storage of data during processing.

An input device 36 is in communication with processor 30 to permit theentry of data into the lottery server 12. Any of a wide variety of inputdevices is suitable for this purpose, including, for example, one ormore of keyboard, an interactive Voice response unit, scanner, and atouch screen. The lottery server 12 further includes a communicationsport 38, which enables the processor 30 to communicate with devicesexternal to the lottery server 12 such as a lottery terminal 14(1).

The processor 30 stores information to, and reads information from, astorage device 40. The storage device 40 includes database files 50stored thereon including a registration database 52, winning numbersdatabase 54, and a winning tickets database 56. It should be noted thatalthough the embodiment is illustrated to include three particulardatabases stored in storage device 40, other database arrangements maybe used which would still be in keeping with the spirit and scope of thepresent invention. In other words, the present invention could beimplemented using any of a number of different database files or datastructures, as opposed to three, as depicted in FIG. 2. Further thedatabase files could be stored on different servers (e.g. found indifferent geographic locations). Storage device 40 also preferablyincludes an application program 60. The application program 60 couldalso be located remotely from the storage device 40 and/or on anotherserver. The application program 60 includes instructions for retrieving,manipulating, and storing data in the database files 50 as necessary toperform the transactions in the methods of the invention as describedbelow.

C. The Registration Database

Referring to FIG. 3, a table illustrates sample contents of an exampleembodiment of a registration database 52 (FIG. 2). Several embodimentsof the present invention are depicted by the records included therein.In addition, reference is made to FIGS. 4A through 4D to facilitate thedescriptions of the several embodiments.

Generally, registration database 52 is used to associate, (i.e., batch)sets of play indicia and their related ticket identifiers with oneanother and with multipliers purchased or won by lottery players. Asdescribed above, if a lottery ticket is a drawing-type lottery ticket,the sets of play indicia will be one or more sets of characters ornumbers selected by the lottery player when the lottery ticket ispurchased. In addition, if the lottery ticket is an instant-type lotteryticket, the sets of play indicia will be one or more sets of characters,numbers, symbols, or messages for the particular game on one or moreinstant-type lottery tickets.

Batched sets of play indicia are identified by a batch identifier.Batching sets of play indicia, their related ticket identifiers, andmultipliers facilitates determination of a purchase price for amultiplier. In addition, batching can be used to prevent lottery playersfrom attempting to apply multipliers to winning lottery tickets fromother batches and/or tickets not registered in a batch. In other words,batching provides a method of controlling when a multiplier isassociated with a set of play indicia. For example, batching can be usedto prevent players from associating a multiplier with a ticket after theplayer knows that a ticket is a winning ticket. Those skilled in the artwill appreciate that the information in the registration database 52 maybe uploaded on a periodic basis or in real time to the lottery server 12from both the lottery terminals 14(1) through 14(N) and the playerterminals 16(1) through 16(N).

Registration database 52 is also used to batch or associate sets of playindicia for lottery games wherein a game player may win a multiplier.Examples of such lottery games are described below.

Registration database 52 can include a record for each batch of lotterytickets. In this example, each row (3R1 through 3R6) of the tabledepicted in FIG. 3 represents a record. Each column (3C1 through 3C9)represents a field within the records. Each record can include a fieldfor a purchase date (3C1), drawing date (3C2), drawing identifier (3C3),batch identifier (3C4), multiplier (3C5), ticket identifier (3C6), VIRNfor instant-type lottery tickets (3C7), player-selected lottery numbers(play indicia) for drawing-type lottery tickets (3C8), and the purchaseprice for all multipliers and multiplier sets of play indicia batched inthe record (3C9). It should be understood that alternative datastructures using different or fewer fields could be employed to storesimilar information and to implement the present invention.

Sample data for this embodiment of the present invention is illustratedby record 3R1, wherein on Jan. 3, 1999 (3C1), a lottery player purchasedtwo sets of lottery numbers, i.e., “1-2-3-4-5-6” and “1-2-7-8-9-20”(3C8), on two separate lottery tickets, “DRAW-2345” and “DRAW-2346”(3C6), for a drawing to be held on Jan. 6, 1999 (3C2) that the systemidentifies with the drawing identifier “1699A” (3C3). Note that, asdescribed above, each set of lottery numbers may be alternativelyreferred to as a set of play indicia. The lottery player also purchaseda “2×” multiplier (3C5) for “$1.00” (3C9) that is associated with thetwo sets of lottery numbers “1-2-3-4-5-6” and “1-2-7-8-9-20” (3C8) andidentified by the system using batch identifier “567” (3C4).

The purchase price of each set of lottery numbers is fixed by thelottery game provider that sponsors the lottery game. For example, theprice of each set of lottery numbers may be one dollar. The purchaseprice of the “2×” multiplier is calculated to be “$1.00” (3C9) based onthe principles discussed below. The above transaction resulted in thecreation of record 3R1 in registration database 52.

In record 3R1, batch identifier 567 (3C4) is used to associate the setsof lottery numbers “1-2-3-4-5-6” and “1-2-7-8-9-20” (3C8) and theirticket identifiers “DRAW-2345” and “DRAW-2346” (3C6), respectively, withthe “2×” multiplier (3C5). If either or both lottery tickets aredetermined to be winning lottery tickets according to the drawingperformed on the Jan. 6, 1999 drawing date (3C2), then the “2×”multiplier could be applied to the larger redemption value of thewinning set of lottery numbers. In alternative embodiments of thepresent invention, the multiplier can be applied, for example, to thesmaller value, both redemption values, or to whichever redemption valuethe player chooses.

D. Computing a Multiplier Purchase Price

Generally, the purchase price of a multiplier may be based upon theexpected value of the sets of play indicia and the magnitude of themultiplier (e.g., “2×”, “3×”, “4×”, etc.). A sample formula used forcalculating the expected value of the sets of play indicia is:E=PVDwhere E represents the expected value of a play indicia set, Prepresents the probability of winning the top payout, V represents thevalue of the top payout and D represents a sharing discount. Thisformula considers the expected value that results only from the topjackpot payout. More complex formulas can consider the additionalexpected value resulting from, for example, payouts for partial matchesof play indicia sets (the lower value payouts). In this example, thesharing discount is defined as a reduction in the expected value of thetop payout to account for the chance that the top payout will be sharedamong a number of lottery players. An example formula for computing thesharing discount might be:D=E[1/n]where D represents the sharing discount, E[ ] represents an expectedvalue function, and n is a random variable that assigns a probabilityp(n), to all possible purchase quantities of a particular set of playindicia assuming that at least one set of play indicia is purchased(n≧1). For example, p(n=3)=0.3, indicates that there is a thirty percentchance that a particular set of play indicia will be purchased threetimes, given that it is purchased at least once. The function E[ ], theexpected value function, takes the expected value over its argument. Amore simplified formula for the sharing discount would be:D=1/Nwhere N represents the anticipated number of times a particular set ofplay indicia will be sold, assuming N is the same for all possible setsof play indicia and also assuming the rough approximation that1/N≅E[1/n]. This particular formula for computing a sharing discount isprovided as a very basic example of how the potential for a sharedjackpot could be used to influence the expected value of a lotteryticket. As indicated above, this particular example formula onlyconsiders the probability of winning the grand prize jackpot and not anycomponent of expected value that would result from winning smallerawards for matching a portion of the drawn numbers with a portion of aset of play indicia.

The example sharing discount formula above also attempts to show how theanticipated total number of play indicia sold could be used to influencethe expected value. It is important to understand that many otherfactors could be used to derive an adjustment to the expected value tocompensate for a sharing discount or other lottery or context-specificinfluences.

Regarding the price of a multiplier, the expected value can be adjustedto take into account the magnitude of the particular multiplier sold(“2×”, “4×”, “10×”, etc.). A very basic example of how this could beachieved would be to simply multiply the expected value by the magnitudeof the multiplier minus one:E _(M)=(X−1)Ewhere E_(M) represents the expected value of the multiplier applied tothe expected value of a set of play indicia, X represents the magnitudeof the multiplier, and E represents the expected value of the set ofplay indicia. A more precise formula could additionally factor in thenumber of sets of play indicia to which the multiplier can be applied.In other words, if the rules of the lottery allowed a player holding twoor more winning tickets from the same batch to apply the multiplier totwo or more of the tickets, the expected value of the multiplier wouldbe higher. Likewise, the expected value of the multiplier of a batchwould be higher if the number of sets of play indicia in the batch waslarger and clearly, this too can be factored into the expected valueformula.

Incorporating the example formula for the sharing discount providedabove, and multiplying the expected value of a set of play indicia byboth the magnitude of the multiplier and the number of sets of playindicia to which the multiplier may be applied, would result in anexample formula for the expected value of a multiplier such as:E _(M)=(X−1)YPVDUpon applying the simplified formula for the sharing discount (D), thisformula reduces to:E _(M)=(X−1)YPV/Nwhere E_(M) represents the expected value of the multiplier applied tothe expected value of a set of play indicia, X represents the magnitudeof the multiplier, Y represents the number of sets of play indicia towhich the multiplier can be applied, P represents the probability ofwinning the top payout, V represents the value of the top payout, Drepresents the sharing discount, and N represents the anticipated numberof times a particular set of play indicia that will be sold assumingthat at least one of that particular set of play indicia is sold.

It should be understood that in addition to the magnitude of theparticular multipliers sold, the number of players who purchasedmultipliers for a particular drawing could also be used as a factor inadjusting the expected value and/or purchase price of a multiplier. Forexample, the purchase price of a multiplier may be increased as thenumber of registered multipliers increases to offset the potentiallylarger payouts that might become necessary. Alternatively, the purchaseprice of multipliers may decrease as the money collected from the saleof multipliers that have low expected values increases.

In one embodiment of the multiplier of the present invention, playersare provided with an opportunity to win a multiple of the largestpayout. It should be noted that this is distinct from a player thathopes to increase his potential winnings by merely purchasing multipletickets with identical selected play indicia. Such a player can onlyhope to win a multiple of the redemption value awarded for small awards,those given for matching a portion of the drawn play indicia (e.g., asmall payout for matching three out of six numbers chosen). Such aplayer does not stand to potentially multiply the grand prize jackpotpayout as in the case of the present invention. In other words, a playerholding three identical grand prize winning tickets only gets threeshares of the grand prize jackpot payout. The total number of sharesdepends upon the total number of jackpot winners. At best threeidentical grand prize winning tickets wins the original jackpot. Incontrast, according to one embodiment of the present invention, a playerholding a “3×” multiplier ticket and a grand prize winning ticketreceives three times the grand prize jackpot payout. Thus, multipliersare attractive to players and at the same time, multipliers afford thelottery game providers the flexibility to charge more money for amultiplier ticket than can be charged for multiple identical tickets.

Various specific purchase-price formulas can be used or derived fordifferent lottery games offered by lottery game providers. Those skilledin the art will be acquainted with various different possiblecalculations. One example of a customer purchase-price formula forcomputing the purchase price of a multiplier would be:C=QE _(M)where C represents the customer purchase-price of the multiplier, Qrepresents a lottery game provider mark-up percentage or value, andE_(M) represents the expected value of a multiplier as defined above. Inthe example data shown on row 3R1 of the example registration database52 of FIG. 3, “$1.00” is listed as the multiplier purchase price (3C9).For this example, assume a lottery in which players must pick sixnumbers out of forty-nine possible numbers to form a play indicia set(hereinafter referred to as a “6/49 lottery”), a single multiplier isonly permitted to be applied to a single winning set of play indicia(Y=1), there is an expected grand prize payout of approximately 18.6million dollars (V=$18,645,088), a lottery markup of 50 percent (Q=1.5),and it is anticipated that based upon the total number of sets of playindicia that are expected to be sold and the number of unique sets ofplay indicia in a 6/49 lottery, each unique set of play indicia that ispurchased will be purchased twice on average (N=2). These assumptionsresult in a purchase price for a multiplier calculation as follows:$\begin{matrix}{C = {{Q\left( {X - 1} \right)}{{YPV}/N}}} \\{= {(1.5)\left( {2 - 1} \right)(1)\left( {{1/13}\text{,}983\text{,}816} \right){\left( {{\$ 18}\text{,}645\text{,}088} \right)/(2)}}} \\{= {{\$ 1}{.00}}}\end{matrix}$

In this example, the probability of winning the top jackpot in a 6149lottery is equal to 1 in 13,983,816 and according to the sample formuladiscussed above, the approximate sharing discount can be computed asfollows: $\begin{matrix}{D = {1/N}} \\{= {1/2}}\end{matrix}$Thus, the sharing discount will reduce the expected value of a playindicia set by approximately half. This is because with a larger numberof players there is a corresponding increase in the probability of ashared payout, i.e. the chances that there will be two or more winnerssharing the jackpot increases as the anticipated number of play indiciasets that will be sold increases.

Thus, the price of a multiplier can be based upon one or more factorsincluding a lottery mark-up value, the magnitude of the multiplier, thenumber of other multipliers sold, the anticipated number of multipliersthat will be sold, the average size of other multipliers sold, the totalsize of other multipliers sold, the individual sizes of othermultipliers sold, the number of lottery players, the total number ofplay indicia sets sold, the number of unique play indicia sets sold, theanticipated number of play indicia sets that will be sold, theanticipated number of times a particular play indicia set will be sold,the probabilities of each of the possible quantities sold of each of thepossible sets of play indicia that are sold, the number of otherplayers, a sharing discount, the number of play indicia sets associatedwith the multiplier, the number of winning play indicia sets to whichthe multiplier can be applied, the probability of winning the lottery,the size of the lottery jackpot, a payout table for winning tickets orother system for determining payout amounts, the type of lottery, therules of the lottery, and other conditions that the lottery authorityidentifies that will be allowed to effect the expected value of themultiplier.

It is noteworthy that, as shown in record 3R1, neither of the twodisplayed ticket identifiers are associated with a VIRN (3C7). This isbecause the tickets are for a drawing-type lottery, not an instant-typelottery, and drawing-type lottery tickets do not typically use VIRNs. Inaddition, it is noteworthy that the lottery player could have purchasedthe two drawing-type lottery numbers on a single lottery ticket. Anexample of such a lottery ticket purchase will now be described.

E. Examples Illustrating Further Embodiments

A second set of example data of an embodiment of the present inventionis illustrated by record 3R2 of FIG. 3 in conjunction with FIG. 4A. Asillustrated in record 3R2 of FIG. 3, wherein on Jan. 2, 1999 (3C1), alottery player purchased five sets of lottery numbers (3C8) on a single,drawing-type lottery ticket 70 identified as “DRAW-1234” (3C6) with thedrawing identified as “1599A” (3C3) to be held Jan. 5, 1999 (3C2). Inaddition, the lottery player purchased a “4×” multiplier (3C5) on amultiplier ticket 72 for a batch identified as “456” (3C4). In thisexample, the price of the “4×” multiplier was determined to be “$1.50”(3C9). The transaction resulted in the lottery player receiving the twolottery tickets illustrated in FIG. 4A and the creation of record 3R2 inregistration database 52.

In record 3R2, batch identifier “456” (3C4) associates the five sets oflottery numbers (3C8), their ticket identifier “DRAW-1234” (3C6), andthe “4×” multiplier (3C5). The purchase price of each set of lotterynumbers is fixed at, for example, one dollar per set. As mentionedabove, in this example, the purchase price of the “4×” multiplier forthe batch of five tickets is calculated to be “$1.50” (3C9).

A third set of example data of an embodiment of the present invention isillustrated by record 3R3, wherein on Jan. 1, 1999 (3C1), a lotteryplayer purchased four instant-type lottery tickets 74 as depicted inFIG. 4B. In addition, the lottery player purchased a “2×” multiplier(3C5) on a multiplier ticket 76. The purchase price of each instant-typelottery ticket is fixed by the lottery game provider that sponsors thelottery game. For example, the price of each lottery ticket may be onedollar. The purchase price of the “2×” multiplier (3C5) in this exampleis determined to be “$1.20” (3C9). The transaction resulted in thelottery player receiving the lottery tickets 74, 76 resembling thoseillustrated in FIG. 4B and the creation of record 3R3 in registrationdatabase 52.

In record 3R3, batch identifier “345” (3C4) associates instant-typelottery tickets “INST-1111”, “INST-2222”, “INST-3333”, and “INST-4444”(3C6) (having VIRNs “1001”, “2002”, “3003”, and “4004” (3C7),respectively) with the “2×” multiplier (3C5). If any of the fourinstant-type lottery tickets are found to be winning lottery tickets,then the “2×” multiplier can be applied to the redemption value of thewinning lottery ticket. Although not required, the inclusion of the word“INSTANT” (3C2) in record 3R3 indicates that the lottery is aninstant-type. The absence of any data in 3C2 (and/or 3C3) of record 3R3could equally well have been used to indicate an instant-type lottery.

Another embodiment of the present invention provides lottery players ofa drawing-type lottery game the opportunity to win a selectedmultiplier. In the embodiment, a lottery player selects one or more setsof play indicia, a multiplier-set of play indicia, and a multiplier,which are batched with one another.

If any of the one or more sets of player-selected play indicia is drawnbut the multiplier-set of play indicia is not drawn, the lottery playerreceives the redemption value of the winning sets of play indicia. Ifany of the one or more sets of play indicia is drawn and themultiplier-set of play indicia is also drawn, the lottery playerreceives the redemption value for the winning sets of play indicia andmay apply the selected multiplier to the redemption value of one (ormore, depending on the embodiment) of the one or more sets of playindicia. If none of the one or more sets of play indicia are drawn butthe multiplier-set of play indicia is drawn, the lottery player will beunable to apply the selected multiplier in one embodiment of the presentinvention. In alternative embodiments, the multiplier can be used withother lottery tickets.

A fourth set of example data of an embodiment of the present inventionis illustrated by record 3R4, where, on Dec. 31, 1998 (3C1), a lotteryplayer purchased two sets of play indicia, “6-5-4-3-2-1” (3C8(A)) and“15-14-13-12-11-10” (3C8(B)), a “3×” multiplier (3C5) and amultiplier-set of play indicia, “5-4-3” (3C8(C1)) for drawings to beheld on Jan. 4, 1999 (3C2). The drawing for the play indicia (3C8(A),3C8(B)) is identified by the system as “1499A” (3C3(A)) and the drawingfor the multiplier-set of play indicia (3C8(C1)) is identified by thesystem as “1499B” (3C3(B)). The lottery player selected that themultiplier-set of play indicia (if drawn) would win for the player a“2×” multiplier (3C8(C2)). The transaction resulted in the lotteryplayer receiving the lottery ticket 78 illustrated in FIG. 4C and thecreation of record 3R4 in registration database 52.

In record 3R4, batch identifier “234” (3C4) associates the sets of playindicia “6-5-4-3-2-1” (3C8(A)) and “15-14-13-12-11-10” (3C8(B)), themultiplier-set of play indicia “5-4-3” (3C8(C1)) with its corresponding“2×” multiplier (3C8(C2)), and their ticket identifier “DRAW-7654” (3C6)with the player-selected and purchased “3×” multiplier (3C5). The priceof each set of play indicia is, for example, fixed at one dollar per setof lottery numbers, and the combined price of both the “3×” multiplierand the multiplier-set of play indicia is calculated in this example tobe “$0.60” (3C9). Note that the present invention allows the lotteryprovider the flexibility to charge less for a multiplier-set of playindicia than for a multiplier because the player may not actually winthe multiplier as a result of his purchase of the multiplier-set of playindicia. It should be understood that the lottery provider can use theexpected value formulas discussed above to determine a price for themultiplier-set of play indicia.

In a variation of the embodiment described above with respect to record3R4, the player-selected multiplier may be applied to any winningdrawing-type lottery ticket. Likewise, in further alternativeembodiments, the player-selected multiplier purchased for an instant orother type of lottery may be applied to any winning ticket.

Another embodiment of the present invention provides lottery players ofan instant-type lottery game the opportunity to win either a cash valueand/or a multiplier. In this embodiment, a lottery player may purchaseone or more instant-type lottery tickets and have them associated in abatch with one another. The play indicia displayed on the tickets forwinning a multiplier and that for winning a cash value can beindistinguishable from each other so that the player cannot tellinitially whether he might win cash or a multiplier. If any of theinstant-type lottery tickets wins a cash redemption value and any of theremaining instant-type lottery tickets wins a multiplier redemptionvalue, then the cash redemption value can be multiplied by themultiplier to increase the winnings for the lottery player. Aninstant-type lottery ticket of this type may include a scratch-ffportion under which three matching multiplier symbols constitute awinning ticket. The cost of each lottery ticket may be, for example,fixed at one dollar per ticket. As mentioned above such a game could beplayed without the player knowing beforehand whether he will win amultiplier or a cash value if his tickets include a winning set of playindicia. The lottery provider can further specify rules that render abatch of play indicia that includes a won multiplier (but no cash value)as having no redemption value. Alternatively, the lottery provider couldspecify that a won multiplier can be redeemed for a cash prize,additional play indicia lottery tickets, and/or allow the player toapply the won multiplier to subsequently purchased winning set of playindicia or batch of sets of play indicia.

A calculation for the purchase price of an instant-type lottery ticketof this type may be based on many variables including the number oftickets printed, game configuration, sizes of payouts, number ofmultipliers, and the type of multipliers. Various specificpurchase-price formulas may be derived for each different lottery gameoffered by lottery game providers based upon the principles and otherfactors described above.

In an alternative embodiment, a multiplier ticket can be applied to anywinning lottery ticket, regardless, and independent, of any associationsor batches of tickets. In yet another embodiment, a multiplier can bedivided among the winning tickets in a batch or among the winningtickets purchased (or won) by the same person. In other words, a “6×”multiplier purchased along with a batch of ten tickets which happen toinclude three winning tickets can be applied several different waysdepending on how the lottery game provider chooses to implement thegame. In the embodiments discussed above, the “6×” multiplier could beapplied to one, all, or some of the winning tickets. In this embodiment,the “6×” multiplier can be divided into three “2×” multipliers (“6/3×”multipliers) and each applied to one of the three winning tickets.

Alternatively the “6×” multiplier can be divided (or multiplied) in anymanner specified by the lottery game provider and likewise applied tothe winning tickets in any manner specified. For example, the “6×”multiplier could become an “18×” (a number determined based onmultiplying the number of winning tickets in the batch (three) and theoriginal multiplier (6×)). The “18×” multiplier could then be dividedinto three multipliers based upon the relative sizes of the redemptionvalues of the winning tickets. For example, assume the winning ticketshad redemption values of $10, $50, and $200, the multipliers for the$10, $50, and $200 tickets respectively would be calculated as follows:Multiplier for the $10 ticket=18(10/(10+50+200))=0.69×Multiplier for the $50 ticket=18(501(10+50+200))=3.46×Multiplier for the $200 ticket=18(200/(10+50+200))=13.85×Applying these multipliers to their respective winning tickets resultsin the player winning a total payout of$2,949.90=(0.69)(10)+(3.46)(50)+(13.85)(200). This example furtherillustrates that multipliers can be used by the lottery provider tooffer lottery players many different alternative prize structures. Notethat in this example, the $10 ticket was actually devalued byapplication of the multiplier. Also note though, that in this example,(A) the total payout was increased by $1689.90 over the straightmultiplication of six times the largest winning ticket value plus theother two tickets' value which would have only paid $1260.00 and (B) thetotal payout was increased by $1389.90 over the straight multiplicationof six times all three cash redemption values which would have only paid$1560.00.

Referring now to record 3R5, additional example data is described. OnDec. 30, 1998 (3C1), a lottery player purchased three instant-typelottery tickets 80 of the type providing the opportunity for the lotteryplayer to win a multiplier and/or a monetary value. The transactionresulted in the lottery player receiving the lottery tickets 80, 82illustrated in FIG. 4D and the creation of record 3R5 in registrationdatabase 52.

In record 3R5, batch identifier “123” (3C4) associates the three ticketidentifiers “INST-5555”, “INST-6666”, and “INST-77777 (3C6) and theirrespective VIRNs “5005”, “6006”, and “7007” (3C7). If any of theinstant-type lottery tickets are winning tickets and any of the ticketshappen to include one or more multipliers (either won or purchased),then the redemption value of one or more of the winning tickets can bemultiplied by the one or more multipliers to increase the winnings forthe lottery player. The lottery provider can establish rules as towhether a player can apply the one or more multipliers to differentwinning tickets. In addition, the lottery provider can allow players toadd additional lottery tickets to a batch of previously associatedtickets. For example, in the case of a drawing-type lottery, a playercan be permitted to add any number of tickets to a previously purchasedbatch for an additional fee up until the drawing.

A variation of the embodiment described above with respect to record 3R5includes applying a multiplier that was won while playing aninstant-type lottery game, to any winning instant-type, drawing-type, orother lottery ticket.

A variation of the embodiments described above with respect to records3R4 and 3R5 includes batching sets of play indicia and identifying thebatch with an identifier that is unique to the lottery player purchasingthe batch. Any identifier unique to the lottery player can be used, forexample, the lottery players social security number, credit card number,a personal identification number (“PIN”), or other identifier assignedby a lottery retailer. Thereafter, the lottery player can purchaseadditional lottery tickets at any time. These tickets can also beassociated with the lottery players unique identifier. The number oftickets that the player can purchase and automatically associate withone or more multipliers can be limited or the time period in which suchtickets can be purchased and added to the batch can be limited.Alternatively, players can be allowed to purchase a “multipliersubscription” where for example, a periodic fee can be paid to allow amultiplier to be available to be applied to all winning ticketspurchased during a given time period

An advantage of the above variation is that lottery players may applyany multiplier that they win to any winning lottery ticket that theypurchase. This provides lottery players an incentive to purchase a largenumber of lottery tickets during the life of the lottery game with thehope of winning multipliers that may be applied to winning lotterytickets.

In another embodiment of the present invention, multipliers can bepurchased (or won) by a group or an individual member or subset ofmembers of a group. The group of lottery players can become associatedwith each other such that if the group, a group member, or a subset ofgroup members holds a winning lottery ticket the group, a group member,or a subset of group members that purchased or won the multiplier canapply the multiplier to the winning ticket. In a similar alternativeembodiment, holders of winning lottery tickets can be permitted to joinwith holders of multiplier tickets based upon predefined rules specifiedby the lottery provider. For example, a lottery player holding a winninglottery ticket with a distinct visual pattern can be permitted to applythe multiplier of a lottery player holding a multiplier ticket with amatching graphical pattern assuming the two players are able to locateeach other within a predetermined amount of time. Instead of matchinggraphical patterns, multi-digit numbers or other indicia could also beused.

Another set of example data illustrating an embodiment of the presentinvention is provided in record 3R6, where on Dec. 29, 1998 (3C1), alottery player purchased a set of drawing-type lottery numbers,“1-2-4-5-10” (3C8), and a “1.5×” multiplier (3C5) from a lotteryretailer for a drawing identified by the system as “1399A” (3C4) on Jan.3, 1999 (3C2). The cost of the set of lottery numbers is fixed at, forexample, one dollar. The example price of the “1.5×” multiplier (3C5)was determined to be “$0.30” (3C9). The above transaction resulted inthe creation of record 3R6 in registration database 52.

In record 3R6, batch identifier “012” (3C4) associates the set oflottery numbers “1-2-4-5-8-10” (3C8) and a ticket identifier “DRAW-8888”(3C6) with the “1.5×” multiplier (3C5). If the lottery ticket is awinning ticket according to the Jan. 3, 1999 (3C2) drawing, then the“1.5×” multiplier (3C5) will be applied to the redemption value of thewinning set of lottery numbers.

F. The Winning Numbers Database

Referring to FIG. 5, a sample table illustrates the contents of anexample embodiment of a winning numbers database 54. In one embodimentof the present invention, the winning numbers database 54 includes arecord (5R1 through 5R5) for each set of lottery numbers drawn fordrawing-type lottery games. Typically, the lottery numbers are randomlydrawn from a predetermined set of numbers by a lottery game provider ondesignated dates. Many methods for randomly drawing numbers from apredetermined set of numbers are well known to those skilled in the art.

In this embodiment, each record includes a field for a drawing date(5C1), drawing identifier (5C2), winning numbers, i.e., numbers drawn onthe drawing date (5C3), and a cash redemption value (5C4) of a winninglottery ticket. This example provides four cash redemption value levels(5C4(A) through 5C4(D)) which indicate the payout when a lotteryplayer's set of lottery numbers (play indicia) includes six 5C4(A), five5C4(B), four 5C4(C), or three 5C4(D) of the six numbers drawn (6/6, 5/6,4/6, or 3/6, respectively).

It should be understood that the values shown in the winning numbersdatabase 54 are for illustration only. Those skilled in the art willappreciate that the cash redemption value for each payout level willdepend on various factors including those described above. For example,such factors can include the expected value of a particular set of playindicia or lottery entries. Those skilled in the art win also appreciatethat winning numbers database 54 may be uploaded to or accessed by eachor any of the lottery terminals 14(1) through 14(N) and player terminals16(1) through 16(N) to enable lottery players, providers, and retailersto easily identify winning lottery tickets/play indicia and to relatethe winning numbers database 54 to the other databases of the system ofthe present invention.

Referring now to both FIGS. 3 and 5, examples of the use of the winningnumbers database 54 are provided. It should be understood that thewinning numbers database 54 relates to the registration database 52 inthat the drawing date (5C1) and drawing identifier (5C2) elements of therecords of the winning numbers database 54 of FIG. 5 represent the sameinformation as the drawing date (3C2) and drawing identifier (3C3)elements of the records of the registration database 52 of FIG. 3. Theexample provided allows for multiple drawings on the same date to beuniquely identified through the use of a drawing identifier (3C3).However, if there were only one drawing per day, the drawing date (3C2)could also serve as an identifier and the use of the drawing identifier(3C3) could be eliminated. It should further be understood that althoughFIGS. 3 and 5 represent a particular data structure and imply aparticular relationship between the winning numbers database 54 and theregistration database 52, any number of alternative data structures andtable relationships could be used. In this example, the records in thewinning numbers database 54 have a “one-to-many” relationship with therecords in the registration database 52. In other words, for eachdrawing identified in the winning numbers database 54, there will likelybe many purchased tickets for the identified drawing listed in theregistration database 52.

As described above with respect to record 3R1, on Jan. 3, 1999, alottery player selected and purchased two sets of play indicia (3C8) anda “2×” multiplier (3C5). The sets of play indicia and multiplier werebatched and are identified by batch identifier “567” (3C4). Referring torecord 5R1 in the winning numbers database 54 of FIG. 5, on Jan. 6, 1999(5C1), in the drawing identified as “1699A” (5C2) play indicia“1-2-7-8-9-10,” (5C3) were drawn by a lottery game provider. Acomparison of element 3C8 of record 3R1 of the registration database 52of FIG. 3 with element 5C3 of record 5R1 of the winning numbers database54 of FIG. 5 reveals that five of the six (5/6) play indicia, i.e., “1”,“2”, “7”, “8” and “9”, of one of the sets of play indicia selected bythe lottery player matched the drawn play indicia. Therefore, asindicated by the cash redemption value element (5C4) of the winningnumbers database 54, the lottery player's set of play indicia had a cashredemption value of $20,000 (5C4(B)) because five of six play indiciamatched the drawn winning play indicia (5C3). Furthermore, because thelottery players set of play indicia are batched with a 2×” multiplier(3C5), the total amount to be awarded the lottery player in this exampleis equal to $40,000 (2×$20,000).

As described above with respect to record 3R2, on Jan. 2, 1999 (3C1), alottery player selected and purchased five sets of lottery numbers (3C8)and a “4×” multiplier (3C5). The sets of lottery numbers and themultiplier were batched and identified by batch identifier “456” (3C4).On Jan. 5, 1999 (3C2; and 5C1 of 5R2), lottery numbers“20-22-25-30-32-34” (5C3 of 5R2) were drawn by a lottery game provider.The drawing is identified by drawing identifier “1599A” (5C2 and 3C3).Three of the six (3/6) lottery numbers, i.e., “20”, “22”, and “25”, ofone of the sets of lottery numbers selected by the lottery playermatched the drawn set of lottery numbers, therefore, the lotteryplayer's set of lottery numbers had a cash redemption value of $20(5C4(D)). Furthermore, because the lottery player's winning set oflottery numbers are batched with the “4×” multiplier (3C5), the totalamount won by the lottery player is $80 (4×$20).

As described above with respect to record 3R4, on Dec. 31, 1998 (3C1), alottery player selected and purchased two sets of play indicia. Theplayer also selected and purchased a third set of play indicia (amultiplier set of play indicia) (3C8(C1)) for the chance to win a “2×”multiplier (3C8(C2)). The player chose a “2×” multiplier (3C8(C2)) asthe multiplier he would receive if the multiplier set of play indiciawas a winning set. The player also selected and purchased a “3×”multiplier (3C5) that can be applied to the redemption value of anywinning set of play indicia. The sets of play indicia and multiplierswere batched and identified by batch identifier “234” (3C4). On Jan. 4,1999 (3C2; and 5C1 of 5R3 and 5R4), lottery numbers “9-8-7-6-5-4” (5C3of 5R3) and multiplier lottery numbers “5-4-3” (5C3 of 5R4) were drawnby a lottery game provider. The drawings are identified by drawingidentifiers “1499A” (5C2 of 5R3) and “1499B” (5C2 of 5R4), respectively.Three of the six (3/6) play indicia, i.e., “6”, “5”, and “4”, of one ofthe sets of play indicia selected by the lottery player matched thedrawn set of lottery numbers. Therefore, the lottery player's set ofplay indicia had a redemption value of $20 (5C4(D) of 5R3). In addition,the lottery player's selected multiplier-set of play indicia, i.e.,“5-4-3”, matched the drawn multiplier lottery numbers, therefore, thelottery player won the selected multiplier, i.e., “2×”. Furthermore, thelottery player had purchased a “3×” multiplier and because lotteryplayer's winning sets of play indicia were batched together, the totalamount won by the lottery player is $120 (2×$20×3).

As described above with respect to record 3R6, on Dec. 29, 1998 (3C1), alottery player selected and purchased the set of lottery numbers“1-2-4-5-8-10” (3C8) and a “1.5×” multiplier (3C5). The set of lotterynumbers and multiplier were batched and identified by batch identifier“012” (3C4). On Jan. 3, 1999 (3C2; and 5C1 of 5R5), lottery number“1-3-5-7-9-11” (5C3 of 5R5) were drawn by a lottery game provider. Thedrawing is identified by drawing identifier “1399A” (5C2). Consideringthe lottery player who purchased the ticket identified as “DRAW-8888”(3C6 of 3R6), since only two of the six (216) lottery numbers, i.e., 1and 5, selected by the lottery player match the set of lottery numbersdrawn by the lottery game provider, the lottery player was not entitledto receive a payout for the set of lottery numbers he selected.

G. The Winning Tickets Database

Referring to FIG. 6, a sample table illustrates the contents andstructure of an example of a winning tickets database 56. The winningtickets database 56 includes a record (for example, 6R1 through 6R9) foreach lottery ticket having a redemption value (for example, a cashamount and/or a won multiplier). Each record can include fields for theticket identifier (6C1), batch identifier (6C2), VIRN (6C3), drawingidentifier (6C4), redemption value (6C5), and the redemption status(6C6) of winning tickets. The winning tickets database 56 is used tostore the values and status of all winning lottery tickets. Theredemption values (6C5) listed in the winning tickets database 56 mayalso benefit from the application of a purchased multiplier if theticket (6C1) is batched with a purchased multiplier as indicated in theregistration database 52 of FIG. 3.

Referring to FIGS. 3 through 6, examples of the use of the winningtickets database 56 are provided below. As described above with respectto record 3R1, a lottery player purchased drawing-type lottery tickets“DRAW-2345” and “DRAW-2346” (3C6). The sets of lottery numbers wereassociated with each other and a “2×” (multiplier (3C5) by batchidentifier “567” (3C4). As also described above with respect to FIGS. 3and 5, the set of lottery numbers printed on lottery ticket “DRAW-2346”matched five of six (5/6) of the set of winning numbers. Therefore,lottery ticket “DRAW-2346” has a redemption value of $20,000. Referringnow to FIG. 6, information relating to the winning lottery ticket isrecorded in record 6R1 of the winning tickets database 56. The ticketidentifier is “DRAW-2346” (6C1), the batch identifier is “567” (6C2),the VIRN field (6C3) is left blank for this drawing-type ticket, thedrawing identifier is “1699A” (6C4), the redemption value is $20,000(8C5), and the redemption status is “REDEEMED” (6C6). Note that theredemption value field (6C5) contains a cash value in this examplebecause with the “DRAW-2346” ticket, the lottery player has won $20,000as opposed to a multiplier. See the example depicted in record 6R7described below for an example of a winning ticket with a redemptionvalue of a won multiplier.

Because the lottery players winning set of lottery numbers is associatedwith a “2×” multiplier (3C5 of 3R1) the lottery player received $40,000(2×$20,000). As indicated in the redemption status field (6C6) of record6R1 in the example winning tickets database 56 illustrated in FIG. 6,drawing-type lottery ticket “DRAW-2346” has been redeemed.

It is enlightening to compare the payout received for drawing-typelottery ticket “DRAW-2346” (6R1) and the payout received fordrawing-type lottery ticket “DRAW-6432” (6R2). A multiplier was notpurchased for “DRAW-6432”. This is evidenced by the lack of a batchidentifier (6C2 of 6R2) associated with ticket identifier “DRAW-6432”.Therefore, even though both lottery tickets, “DRAW-2346” and “DRAW-6432”had the same redemption value, i.e., both lottery tickets included a setof lottery numbers that matched five of the six (5/6) of the set ofwinning numbers (5C3 of 5R1) for the same drawing “1699A” (6C4 of 6R1),the “DRAW-2346” ticket is ultimately worth twice that of the “DRAW-6432”ticket, i.e., $40,000 as compared to $20,000. This comparison highlightsan alluring aspect of the present invention to lottery players: for therelatively small cost of a multiplier, the players can dramaticallyincrease the value of their potential winnings.

As described above with respect to record 3R2 of FIG. 3, a lotteryplayer purchased five sets of lottery numbers on a drawing-type lotteryticket having ticket identifier “DRAW-1234” (3C6). The sets of lotterynumbers were associated with each other and to a “4×” multiplier (3C5)by batch identifier “456” (3C4). The lottery tickets are illustrated inFIG. 4A.

As described above with respect to FIGS. 3 and 5, a set of lotterynumbers printed on lottery ticket “DRAW-1234” matched three of six (3/6)of the set of winning numbers. Therefore, lottery ticket “DRAW-1234” hasa redemption value of $20. Information relating to the winning lotteryticket is recorded in record 6R3 of the winning tickets database 56.

Because the lottery player's winning set of lottery numbers isassociated with a “4×” multiplier, the lottery player is to receive $80(4×$20). As indicated in the redemption status field (6C6 of 6R3),drawing-type lottery ticket DRAW-1234 has not yet been redeemed.

As described with respect to record 3R3, a lottery player purchasedinstant-type lottery tickets “INST-1111”, “INST-2222” “INST-3333” and“INST-4444” (3C6). The instant-type lottery tickets are associated witheach other and to a “2×” multiplier (3C5) by batch identifier “345”(3C4). The lottery tickets are illustrated in FIG. 4B. After the lotteryplayer removes the latex coating from each instant-type lottery ticket,it is revealed that lottery tickets “INST-1111” and “INST-2222” haveredemption values of $5 and $10, respectively. Information relating tothe winning lottery tickets is recorded in record 6R4 and record 6R5,respectively, of the winning tickets database 56.

Because both of the lottery players instant-type lottery tickets“INST-1111” and “INST-2222” are associated in record 3R3 of theregistration database 52 with a “2×” multiplier (3C5), the lotteryplayer can decide which lottery ticket he desires to apply the “2×”multiplier. Obviously, the lottery player will choose to apply themultiplier to lottery ticket “INST-2222” since it has the higherredemption value of $10. Therefore, the lottery player receives a totalpayout of $25 ($5+(2×$10)). As indicated in their respective redemptionstatus fields (6C6), both instant-type lottery tickets have beenredeemed.

In an alternate embodiment, the holder of a multiplier ticket can applythe multiplier to any number of winning lottery tickets within theassociated batch of tickets. In such an embodiment, the number ofwinning lottery tickets, or winning play indicia, to which themultiplier can be applied can be as large as the number of tickets (orsets of play indicia) in the batch. Note that the batch can include setsof play indicia purchased or won at different times. Alternatively, themultiplier could be sold or awarded under the condition that it will beapplied to only a limited number or a specific subset of winning ticketswithin a batch.

Likewise, in yet another embodiment, the holder of a multiplier ticketcan apply the multiplier to any number of winning lottery tickets (orwinning play indicia) independent of any associations or ticket batches.In this embodiment, the only restriction might be that the multipliersand play indicia were simultaneously owned by the same person or werepurchased at the same location or through the same retailer.Alternatively, the only restriction might be that the number of winninglottery tickets, or winning play indicia, to which the multiplier willbe permitted to be applied is limited to a number called an“applications count.” An applications count refers to a number ofwinning play indicia sets to which the multiplier can be applied. Theapplications count can be purchased separately, or won separately as anadditional prize. In a non-batched embodiment, the applications countcan be determined based upon the amount a player is willing to pay orthe lottery provider wishes to permit.

In another embodiment, players are permitted to purchase a plurality ofmultipliers for the same batch of tickets. If the batch includes two ormore winning tickets, the multipliers can be applied to the winningtickets in any number of different ways. For example, the lottery gameprovider can specify particular multiplier application and payout rules,e.g. the smallest multiplier is applied to the largest payout. Thisallows the lottery provider maximum control over the size of thepayouts. Alternatively, it could be left to the player to determine howto apply the multipliers so as to allow the player to maximize the totalpayout.

As described above with respect to record 3R4 of FIG. 3, a hypotheticallottery player purchased two sets of play indicia, a “3×” multiplier,and a three-number multiplier-set of play indicia for a drawing-typelottery ticket identified as “DRAW-7654” (3C6). The sets of play indicia(lottery numbers) and the “3×” multiplier were associated with eachother by batch identifier “234” (3C4). The lottery ticket 78 isillustrated in FIG. 4C.

As also described above with respect to record 3R4 of FIG. 3, FIG. 4C,records 5R3 and 5R4 of FIG. 5, and records 6R6 and 6R7 of FIG. 6, a setof the play indicia (“6-5-4-3-2-1” (3C8(A)) printed on the lotteryticket 78 identified as “DRAW-7654” (3C6) matched three of six or “3/6”(5C4(D)) of the set of winning numbers (5C3) for drawing identified as“1499A” (5C2). Therefore, lottery ticket “DRAW-7654” has a redemptionvalue of $20. Information relating to the winning lottery ticket isrecorded in record 6R6 of the winning tickets database 56.

In addition, the three-number multiplier-set of play indicia (“3-4-5”)on lottery ticket “DRAW-7654” 78 matched the set of winning play indicia(5C3 of 5R4) for drawing “1499B”. Therefore, lottery ticket “DRAW-7654”also has a won multiplier of “2×”. Information relating to the winningmultiplier lottery ticket is recorded in record 6R7 of the winningtickets database 56.

Applying both the purchased multiplier (3C5 of 3R4) and the wonmultiplier (6C5 of 6R8) to the redemption value, the payout for thelottery ticket is determined to be $120 (2×3×$20). As indicated in theredemption status field (6C6), drawing-type lottery ticket DRAW-7654 hasbeen redeemed.

As described above with respect to record 3R5, a lottery playerpurchased instant-type lottery tickets “INST-5555”, “INST-6666”, and“INST-7777” (3C6). The instant-type lottery tickets are associated witheach other by batch identifier “123” (3C4). Examples of the lotterytickets 80 are illustrated in FIG. 4D; The lottery tickets aremultiplier-type instant lottery tickets, wherein the lottery player maywin a multiplier by revealing a particular set of play indicia thatsatisfy the rules of a particular instant-type lottery game.

After removing the latex coating from each instant-type lottery ticket,“INST-5555” reveals a multiplier of “2×” and “INST-7777” reveals aredemption value of $30. Information relating to the multiplier and cashwinning instant-type lottery tickets are recorded in record 6R8 and inrecord 6R9 respectively of the example winning tickets database 56 showin FIG. 6.

Because both of the instant-type lottery tickets are associated witheach other by batch identifier “123”, the lottery player may apply the“2×” multiplier of lottery ticket “INST-5555” against the redemptionvalue of lottery ticket “INST-7777”. Therefore, the lottery player willreceive a total of $60 (2×$30). As indicated in their respectiveredemption status fields (6C6), neither instant-type lottery ticket hasyet been redeemed.

H. The Methods of Selling Multipliers

Referring to FIG. 7, a flow diagram illustrates example embodiments of amethod for selling one or more drawing-type or instant-type lotterytickets having one or more sets of play indicia printed thereon. Theflow diagram further illustrates associating a player-selectedmultiplier with the one or more sets of play indicia. The lotterytickets can be of the type wherein a lottery player may purchase or wina multiplier.

At Step 100, a lottery ticket retailer (e.g. lottery terminal 14(1) ofFIG. 1) receives a request to purchase at least one lottery tickethaving at least one set of play indicia printed thereon. If the lotteryplayer desires to purchase a drawing-type lottery ticket, he may selectat least one set of lottery numbers in Step 100. The format, quantityand ordinal value range of the numbers that are selected by the lotteryplayer are dependent on the type of lottery game. For example, in a“6/49” game, six numbers are selected, each in the range from one toforty-nine. The lottery player may select the numbers individually bycompleting a machine readable form which the lottery retailer inputsinto a lottery terminal, for example, lottery terminal 14(1).Alternatively, the lottery retailer may offer the lottery player a“Quick-Pick™” option, wherein a random-number generator or other methodis used to select the numbers for the player and thus, the step ofhaving to enter the player's numbers (play indicia) into the lotteryterminal 14(1) is eliminated.

If the lottery player desires to purchase one or more instant-typelottery tickets, the lottery player selects the game type that he wouldlike to play. The lottery retailer detaches the one or more instant-typelottery tickets from a roll or stack of instant-type lottery tickets forthat particular game. Those skilled in the art will appreciate that aroll or stack of instant-type lottery tickets is a serialized group ofinstant-type lottery tickets that are typically printed on a continuoussheet of paper or light cardboard and separated by perforations.

At Step 110, the lottery player is queried as to whether he desires topurchase one or more multipliers to associate with the one or more setsof play indicia. The system of the present invention is operative topresent a prompt to the cashier or other employee of the lotteryretailer to make an offer to, or suggest to the lottery player that amultiplier can be purchased. This “upsell prompt” can take the form of averbal, printed, or electronically displayed message to the lotteryretailer employee. In addition, the offer to sell a multiplier can bepresented directly to the lottery player via a display or printercoupled to the lottery terminal 14(1) or player terminal 16(1). Themultiplier offer can also be in the form of a audio and/or visualmessage from the terminal or a spoken message from the lottery terminaloperator or retailer. A printed message on the lottery ticketsthemselves can also be used to offer the multiplier.

If the lottery player does not desire to purchase a multiplier, then, atStep 120, the one or more sets of play indicia are processedconventionally. If the lottery player desires to purchase one or moremultipliers, then, at Step 130, the lottery player is prompted to selectone or more particular multipliers that are to be associated with theone or more sets of play indicia. For example, the lottery player mayselect a “2×”, “2.5×”, “3×”, or “4×” multiplier or specify his ownparticular multiplier. Of course, as described above, associating amultiplier to the one or more sets of play indicia will also associatethe multiplier to the related lottery tickets.

To encourage lottery players to purchase multipliers, a prompt may bedisplayed on a monitor suggesting to purchase a multiplier. The promptmay also provide information relative to the purchase of multipliers.For example, the prompt may include the purchase price for differentmultipliers, payouts for winning sets of lottery numbers with andwithout a multiplier, and recent payouts received by lottery playersthat were increased by a multiplier. The prompts information can bedelivered to the lottery player directly via a display monitor,printout, or other means and/or via a verbal suggestion provided by, forexample, a lottery ticket distributors cashier.

It is noteworthy that in accordance with the present invention, thelottery providers have the option of allowing players to choose amultiplier from among particular ranges of multipliers for particularlottery games. For example, the lottery provider may decide to offerlottery players the choice of a multiplier in the range of “1.5×” to“6.2×”0 for a particular lottery game.

At Step 140, after the lottery player selects a multiplier, the lotteryretailer, for example, enters the selection into the lottery terminal14(1) and the purchase price of the multiplier is calculated. Thepurchase price of a selected multiplier can be generally based in parton the expected values of the multiplier and/or the batch of lotterytickets purchased by the lottery player as described above. Thiscalculation can account for several variables, including, for example,the probability of winning a payout, the value of the payout, a sharingdiscount, and the number of multipliers sold to date (for a particularlottery drawing in the case of a drawing-type lottery).

An alternative embodiment of the present invention includes carrying outStep 140 immediately after Step 100. For example, the alternateembodiment includes calculating the purchase price of all multipliersavailable to the lottery player to choose from immediately afterentering the selected set of lottery numbers into the lottery terminal14(1). Thereafter, at Step 110, the lottery retailer determines whetherthe lottery player desires to purchase a multiplier. This approach isadvantageous in that the lottery player can be shown in advance thepurchase price of each multiplier he may purchase. To expedite theselection process, the multipliers and their purchase prices may bedisplayed on a monitor that is viewable by the lottery player and,furthermore, the multipliers may be directly selectable by the lotteryplayer using a touch-activated display monitor.

At Step 150, the total purchase price (i.e., the price of one or moresets of play indicia plus the price of the multiplier) of thetransaction has been calculated and is presented to the lottery player.At Step 160, the lottery retailer receives payment from the player ofthe purchase price. At Step 170, the lottery retailer provides the oneor more sets of play indicia and the multiplier on one or more lotterytickets to the lottery player. At Step 180, the registration database 52(FIG. 3) is updated to include the information from the transaction andto record the association of the one or more sets of play indicia andthe multiplier. This step links all the appropriate ticket identifiers(3C6) to the appropriate multiplier via the batch identifier (3C4). Thisensures that a single ticket from a batch can be redeemed by a player,and the system can determine if a multiplier was purchased (or won)based on the ticket identifier (3C6). In this way, tickets can beassociated with a multiplier to facilitate the system adjusting thepayout upon redemption.

The creation of sample database records detailed above in the discussionrelative to FIG. 3 illustrate various embodiments of Step 180. It shouldbe understood that in alternative embodiments, Step 180 can be performedbefore tickets are printed or provided to the lottery player as well asbefore the lottery player pays for the tickets.

I. Examples Of Selling Multipliers

Referring to FIGS. 3 and 4, several examples of the method illustratedin FIG. 7 and described above are provided below.

Referring to record 3R2, a lottery player requests to purchase five setsof lottery numbers on a single lottery ticket in Step 100 of FIG. 7. Thelottery retailer then determines whether the lottery player desires topurchase a multiplier in Step 110. If not, the retailer sells the playera standard lottery ticket in Step 120. Otherwise, the lottery playerrequests, in this example, that a “4×” multiplier is associated witheach of the five sets of lottery numbers in Step 130. The lotteryretailer enters the information into a lottery terminal, for example,lottery terminal 14(1), and a “4×” multiplier ticket to be associatedwith the five sets of lottery numbers is generated. The association, orbatch, is identified with batch identifier “456” (3C4). In Step 140, thepurchase price of the five sets of lottery numbers and the multiplierare determined. In Step 150, the price is displayed to the player and inStep 160, the lottery player pays the purchase price. Tickets are thenissued to the lottery player in Step 170 by the retailer.

In this example, the lottery player receives a single drawing-typelottery ticket 70 and a multiplier ticket 72 as illustrated in FIG. 4A.The lottery ticket 70 includes the five sets of lottery numbers andtheir associated ticket identifier. The multiplier ticket 72 includesthe ticket identifier, the multiplier, and the batch identifier. In Step180, the registration database 52 (FIG. 3) is updated to include theinformation from the transaction and to record the association of the“4×” multiplier with the five sets of lottery numbers. In an alternativeembodiment, the multiplier number and batch identifier are printed onthe lottery ticket 70 and a multiplier ticket 72 is not generated orprinted.

Referring to the next example in record 3R3, in Step 100 a lotteryplayer requests to purchase four instant-type lottery tickets. Thelottery retailer then determines whether the lottery player desires topurchase a multiplier in Step 110. In Step 130, the lottery playerrequests that a “2×” multiplier (3C5) is associated with each lotteryticket. The lottery retailer scans four instant-type lottery ticketsinto a lottery terminal, for example, lottery terminal 14(1), and a “2×”multiplier (3C5) is associated with four instant-type lottery tickets.The batch is identified with a batch identifier “345”. The purchaseprice of the four instant-type lottery tickets and the multiplier aredetermined in Step 140, the price is conveyed to the player in Step 150and the lottery player pays the purchase price in Step 160.

Thereafter in Step 170, the lottery player receives the fourinstant-type lottery tickets 74 and a multiplier ticket 76 asillustrated in FIG. 4B. The multiplier ticket 76 includes the ticketidentifiers of the four instant-type lottery tickets, the multiplier,and the batch identifier. The registration database 52 (FIG. 3) isupdated to include the information from the transaction in Step 180.

Referring to the next example in record 3R4, in Step 100 a lotteryplayer requests to purchase two sets of play indicia on a single lotteryticket. The lottery retailer then determines whether the lottery playerdesires to purchase a multiplier and/or a chance to win a multiplier inStep 110. At such time in Step 130, the lottery player requests in thisexample to purchase both a “3×” multiplier and a multiplier-set of playindicia for a chance to win a “2×” multiplier. The lottery retailerenters the sets of lottery numbers into a lottery terminal, for example,lottery terminal 14(1), and thereby associates the multipliers and playindicia in a batch. The batch is identified with batch identifier “234”.The purchase price of the ticket 78 which includes two sets of playindicia, the multiplier, and the multiplier-set of play indicia, isdetermined in Step 140, the price is output in Step 150 and the lotteryplayer pays the purchase price in Step 160.

Thereafter in Step 170, the lottery player receives a singledrawing-type lottery ticket 78 as illustrated in FIG. 4C. Theregistration database 52 (FIG. 3) is updated to include the informationfrom the transaction in Step 180.

Referring to the next example in record 3R5, a lottery player requeststo purchase three instant multiplier-type lottery tickets. In thisembodiment, Steps 100 and 110 are skipped. In response to player'srequest, the lottery retailer scans in or otherwise enters the ticketidentifiers of three instant multiplier-type lottery tickets into alottery terminal, for example, lottery terminal 14(1), and the ticketidentifiers of each lottery ticket are associated with batch identifier123. In this embodiment, the price for these ticket are previouslyknown, thus Steps 140 and 150 are also skipped. In exchange for payment(Step 160), the lottery player receives three instant multiplier-typelottery tickets 80 and a multiplier ticket 82 as illustrated in FIG. 4Dat Step 170. The multiplier ticket 82 includes the ticket identifiers ofthe three instant multiplier-type lottery tickets and the batchidentifier. In Step 180, the registration database 52 (FIG. 3) isupdated to include the information from the transaction.

J. The Methods of Redeeming Multipliers

Now referring to FIG. 8, a flow diagram is described that illustratesexample embodiments of a method for redeeming a drawing-type lotteryticket or an instant-type lottery ticket. The lottery tickets can be ofthe type wherein a lottery player may either purchase or win amultiplier.

At Step 200, a lottery ticket retailer receives a lottery ticket forredemption from a lottery player and enters the lottery ticket'sidentifying information into a lottery terminal, for example, lotteryterminal 14(1). The information may be manually entered or, if includedon the lottery ticket in e.g. a bar code format, scanned into thelottery terminal 14(1). As is well known in the art, it is oftenrequired for instant-type lottery tickets that a code, for example, aVIRN, printed beneath the removable scratch-off latex layer is alsoinput into the lottery terminal 14(1). This is typically done to veritythat the a lottery ticket is valid.

At Step 210, the winning tickets database 56 (FIG. 6) is queried todetermine whether the lottery ticket received at Step 200 is a winninglottery ticket. If it is determined that the lottery ticket is not awinning lottery ticket, for example, the ticket identifier is not foundin the winning tickets database 56, then the lottery retailer issignaled that the ticket is a losing lottery ticket and the processends. If instead it is determined: that the lottery ticket is a winninglottery ticket, then the process proceeds to Step 220.

At Step 220, the redemption status field (6C6) of the winning ticketsdatabase 56 is retrieved to determine whether the winning lottery ticketwas previously redeemed. If it is determined that the winning lotteryticket was previously redeemed, then the lottery retailer is notified assuch and the routine ends. If instead it is determined that the winninglottery ticket was not previously redeemed, then the process proceeds toStep 230.

At Step 230, one or more redemption values (dollar amounts and/ormultipliers) of the winning lottery ticket are determined by queryingthe redemption value field (6C5) of the record for the winning lotteryticket in the winning tickets database 56. The one or more dollaramounts and/or multiplier sizes of the winning lottery ticket are readand stored in the memory of the lottery terminal 14(1).

At Step 240, the one or more dollar amounts and/or multipliers of thewinning lottery ticket are evaluated to determine if any of the datarepresent a multiplier. If any of this data does represent a multiplier,then the process advances to Step 270. It should be understood that Whenone or more of the dollar amounts and/or multipliers of the winninglottery ticket represent a multiplier, the lottery ticket is of the typewhere a multiplier may be won. If none of the redemption values (6C5)represent a multiplier, then the routine advances to Step 250.

At Step 250, the registration database 52 (FIG. 3) is queried todetermine whether the winning lottery ticket is associated with aparticular multiplier that was purchased with the winning lotteryticket. In an embodiment that uses the data structures described above,the query can be accomplished by searching the ticket identifier field(3C6) of each record in the registration database 52 to determine ifthere is a record containing the ticket identifier of the winninglottery ticket. If it is determined that the winning lottery ticket isnot associated with a multiplier, then the process proceeds to Step 280where the payout of the lottery ticket is processed. If it is determinedthat the winning lottery ticket is associated with a multiplier, thenthe routine proceeds to Step 260.

At Step 260, the registration database 52 is further queried todetermine the multiplier that is associated to the winning lotteryticket. This is accomplished by reading the multiplier field (3C5) forthe record found in Step 250. Thereafter, the multiplier that isassociated with the ticket identifier is retrieved from the multiplierfield (3C5) and stored in the memory of the lottery terminal 14(1).

At Step 270, the payout to the lottery player is determined based on adollar amount of the redemption value and one or more multipliers. Morespecifically, at least one of the dollar amount redemption valuesdetermined at Step 230 are multiplied by a won multiplier determined inStep 230/240 and/or a purchased multiplier determined at Step 260, asthe case may be. As indicated above and discussed in more detail below,throughout various embodiments of the present invention, any number ofdifferent methods of applying multipliers to redemption values can beemployed by the lottery provider at this point in the process.

Although not explicitly illustrated and described with respect to FIG.8, an embodiment of the present invention in which a player can bothpurchase and win a multiplier is contemplated wherein the product (sumor some other function) of the multipliers can be applied to a dollaramount won via another set of play indicia, associated or not, dependingupon the lottery rules as defined by the lottery provider.

At Step 280, the payout is disbursed to the lottery player thatpresented the lottery ticket to the lottery retailer at Step 200. And atStep 290, the winning tickets database 56 is updated to reflect that thelottery ticket has been redeemed (6C6).

K. Examples of Redeeming Multipliers

Referring to FIGS. 3 through 6, examples of the method illustrated inFIG. 8 and described above are provided below.

Referring to FIG. 4A, a lottery ticket retailer receives drawing-typelottery ticket 70 from a lottery player (Step 200) and enters thelottery tickers identifying information, i.e., “DRAW-1234”, into thelottery terminal 14(1). The winning tickets database 56 is queried todetermine whether drawing-type lottery ticket 70 is a winning lotteryticket (Step 210).

Record 6R3 of the winning tickets database 56 is found to include ticketidentifier “DRAW-1234”, therefore, the redemption status field (6C6) isread to determine whether the winning lottery ticket was previouslyredeemed (Step 220). Because the drawing-type lottery ticket 70 was notpreviously redeemed, the redemption value field (6C5) is queried (Step230). Drawing-type lottery ticket 70 is found to have a redemption valueof $20. This value is stored in the memory of the lottery terminal14(1). The lottery ticket is also found to not have a “won” multiplier(Step 240).

The registration database 52 is queried to determine whether the winninglottery ticket is associated with a purchased multiplier (Step 250) and,if so, the particular multiplier purchased. Drawing-type lottery ticket70 is determined to be associated with a “4×” multiplier (Step 260).

The payout for the winning lottery ticket may be determined to be $80(4×$20) (Step 270), which is disbursed to the lottery player (Step 280).Thereafter in Step 290, the winning tickets database 56 is updated toreflect that the lottery ticket has been redeemed (6C6).

An embodiment of the present invention includes a multiplier that may beapplied only when the redemption value of a winning lottery ticket iswithin a predetermined range of values. For example, the “4×” multiplierof the above example may be designated to apply only to a winninglottery ticket having a redemption value of between $5 and $15. In sucha case, the lottery player would not have been able to apply the “4×”multiplier to the $20 redemption value. This embodiment provides alottery authority more control over the size of payouts and more controlto remain profitable.

Another embodiment of the present invention includes a multiplier thatmay only be applied for a predetermined amount of time. For example, the“4×” multiplier of the above example may be designated to apply up untilFeb. 5, 1999. In such a case, if the lottery player attempted to redeemdrawing-type lottery ticket “DRAW-1234” after Feb. 5, 1999, he would notbe able to apply the “4×” multiplier to the $20 redemption value.

Another embodiment of the present invention includes a multiplier thatmay only be applied to a winning lottery ticket if some predeterminedexternal event occurs. For example, the “4×” multiplier of the aboveexample may be designated to apply only if the New York Yankees®baseball team beats the Baltimore Orioles® on a particular date. As afurther example, an embodiment may provide that the “4×” multiplierbecomes a “5×” multiplier if both the Yankees® beat the Orioles® and theNew York Mets® beat the Cincinnati Reds® on a particular date or duringa baseball season.

Another embodiment of the present invention includes a multiplier thathas a size that is not disclosed to the lottery player until it isapplied to a winning ticket. For example, in the case of a multiplierthat is won (as opposed to one that is purchased), a winning multiplierticket may only display “Multiplier.” The player will not know theactual multiplier amount until it is redeemed. Further, the multiplieramount may increase or decrease based on other conditions defined by thelottery provider as described above. Further examples of hidden sizemultipliers that change based on conditions include an unknownmultiplier that may increase if it is redeemed at a specific location,redeemed with a certain type of instant ticket, or with a specificredemption value or redemption value range of ticket. This type ofmultiplier could also be defined to decrease the payout of a winningticket. Hidden size multipliers can be purchased for drawing-typelotteries in addition to instant-type lotteries.

Another example of an embodiment of the redemption process illustratedin FIG. 8 is now discussed using the example tickets pictured in FIG.4B. A lottery ticket retailer receives instant-type lottery tickets 74from a lottery player and enters at least one of the lottery tickets'identifying information into the lottery terminal 14(1) (Step 200). Thewinning tickets database 56 is queried to determine whether any of theinstant-type lottery tickets 74 are winning lottery tickets (Step 210).

Records 6R4 and 6R5 of the winning tickets database 56 are found toinclude ticket identifiers “INST-1111”, and “INST-2222”, respectively.The redemption status field (6C6) is read to determine whether thewinning lottery tickets were previously redeemed (Step 220). Because theinstant-type lottery tickets were previously redeemed, the lotteryretailer is alerted not to provide any payout and the process ends. Forthe purpose of proceeding with the present example, it will be assumedthat the lottery tickets were not previously redeemed. Therefore, theredemption value field (6C5) is queried (Step 230).

Instant-type lottery ticket “INST-1111” is found to have a redemptionvalue of $5 and instant-type lottery ticket “INST-2222” is found to havea redemption value of $10. These redemption values are stored in thememory of the lottery terminal 14(1). The lottery tickets are also foundnot to have multipliers that were “won” (Step 240).

The registration database 52 (FIG. 3) is queried to determine whetherthe winning lottery tickets are associated with a purchased multiplier(Step 250). Instant-type lottery tickets “INST-1111”; and “INST-2222”are determined to be associated with a “2×” multiplier (Step 260).

As discussed above, the present invention contemplates many options asto how it is determined which of the lottery tickets the multiplier isto be applied. Of course, in the embodiment where the lottery player isallowed to choose one ticket to apply the multiplier to, he will applythe multiplier to the more valuable lottery ticket. In this case, thepayout for the winning lottery tickets is determined to be $25($5+(2×$10)) (Step 270), which is disbursed to the lottery player (Step280). In another embodiment the multiplier can be applied to all of thewinning tickets in the batch and the player receives $30 (2×($5+$10)).Thereafter, the winning tickets database 56 is updated to reflect thatthe lottery tickets have been redeemed (6C6) (Step 290).

Another example of an embodiment of the redemption process illustratedin FIG. 8 is now discussed using the example tickets pictured in FIG.4C. A lottery ticket retailer receives drawing-type lottery ticket 78from a lottery player and enters the lottery ticket's identifyinginformation into the lottery terminal 14(1) (Step 200). The winningtickets database 56 is queried to determine whether drawing-type lotteryticket 78 is a winning lottery ticket (Step 210).

Records 6R6 and 6R7 of the winning tickets database 56 are found toinclude ticket identifier “DRAW-7654”, therefore, the redemption statusfield (6C6) is read to determine whether the winning lottery ticket waspreviously redeemed (Step 220). Because the drawing-type lottery ticket78 was previously redeemed, the lottery retailer is signaled not to makea payout and the process ends. For the purpose of proceeding with thepresent example, it will be assumed that the lottery tickets were notpreviously redeemed. Therefore, the redemption value field (6C5) isqueried for each “DRAW-7654” record. (Step 230).

Drawing-type lottery ticket 78 is found have a redemption value of both$20 and a “2×” won multiplier (Step 240). These redemption values arestored in the memory of the lottery terminal 14(1). Because instant-typelottery ticket 78 also has play indicia bathed with a purchasedmultiplier of “3×”, the payout may be determined to be $120 (2×$20×3)(Step 270). The $120 is disbursed to the lottery player (Step 280).Thereafter, the winning tickets database 56 is updated to reflect thatthe lottery tickets have been redeemed (6C6) (Step 290).

Another example of an embodiment of the redemption process illustratedin FIG. 8 is now discussed using the example tickets pictured in FIG.4D. A lottery ticket retailer receives instant-type lottery tickets 80from a lottery player and enters at least one of the lottery tickets'identifying information into the lottery terminal 14(1) (Step 200). Thewinning tickets database 56 is queried to determine whether any of theinstant-type lottery tickets 80 are winning lottery tickets (Step 210).

Records 6R8 and 6R9 of the winning tickets database 56 are found toinclude ticket identifier “INST-5555” and “INST-7777”, respectively. Theredemption status field (6C6) is read to determine whether the winninglottery tickets were previously redeemed (Step 220). Because theinstant-type lottery tickets were not previously redeemed, theredemption value field (6C5) is queried for both of the associatedinstant-type tickets (Step 230). Instant-type lottery ticket “INST-5555”is found to have a “2×” multiplier (Step 240) and instant-type lotteryticket “INST-7777” is found to have a dollar value of $30. Theseredemption values are stored in the memory of the lottery terminal14(1).

Although not explicitly illustrated, the method of the present inventioncould also perform look-ups in the registration database 52 and thewinning tickets database 56 to determine whether any other play indiciaincluded in batch “123” included a redemption value. For example thesystem could confirm that “INST-6666” did not have a won multiplier thatshould also be applied when determining the payout to the player in Step270.

Because instant-type lottery tickets 80 have a multiplier, i.e.,“INST-5555” has a multiplier of “2×”, the payout is determined to be $60(2×$30) (Step 270). The $60 is disbursed to the lottery player (Step280). Thereafter, the winning tickets database 56 is updated to reflectthat the lottery tickets have been redeemed (6C6) (Step 290).

In addition to the above described embodiments, it is foreseen thatlottery ticket multipliers may be used with specific types of lotterytickets such as slow-selling lottery tickets or expensive lotterytickets. Such an embodiment would enable a lottery game provider to sellless popular lottery tickets or would facilitate the introduction of newinstant-type lottery games. Furthermore, it is foreseen that lotteryticket multipliers may be used at particular retailer locations. Such anembodiment would encourage customer loyalty at the particular retailerlocations.

L. Additional Embodiment A8

In an additional embodiment of the present invention, a multiplier canbe distributed independent of a lottery ticket and by a third partyother than the lottery retailer. For example, a multiplier can beprinted on a receipt from a retail vendor, such as a gas station, alongwith a lottery promotion message that reads “Play the lottery and if youwin, you can multiply your winnings by X” where X is the multiplier.This can be implemented as a promotion by the gas station where the costof the multiplier is paid for by the gas station. In return, the gasstation will enjoy the increased volume that such a multiplier giveawaywould generate.

Conversely the lottery retailer could allow the gas station to giveawaythe multiplier as a loss leader. The gas station could be compensatedfor distributing a lottery advertisement including a multiplier forexample. In the case of a large retailer with a large customer base, forexample, a national home products franchise, a lottery provider may paya fee to the large retailer in exchange for promoting the lottery gameby giving away or selling multipliers to customers via, for example, theretailer's point of sale systems or Internet web sites. Thus,multipliers, in the various forms described herein, may be distributedvia merchants (retailer, “e-tailer”, distributor, etc.) products (serialnumbers, model numbers, etc.), manufacturers (rebate identifiers,coupons, product packaging, product documentation includinginstructions, etc.), and/or service or product providers (receipts,transaction records, account numbers, advertising material, proofs ofpurchase, etc.) as a lottery promotion tool or a generic cross-sellproduct.

M. Conclusion

It is clear from the foregoing disclosure that the present system andmethod for a lottery game player to increase a payout received for theredemption value of a winning lottery ticket provides an advancement inlottery game play. While the method and apparatus of the presentinvention has been described in terms of its presently preferred andalternate embodiments, those skilled in the art will recognize that thepresent invention may be practiced with modification and alterationwithin the spirit and scope of the appended claims. The specificationsand drawings are, accordingly, to be regarded in an illustrative ratherthan a restrictive sense.

Further, even though only certain embodiments have been described indetail, those having ordinary skill in the art will certainly appreciateand understand that many modifications, changes, and enhancements arepossible without departing from the teachings thereof. All suchmodifications are intended to be encompassed within the followingclaims.

1. A method of processing lottery ticket sales comprising the steps of:receiving a request to purchase at least one set of play indicia;receiving a request to purchase at least one multiplier, wherein themultiplier is chosen by a player; associating the play indicia with themultiplier; and determining a price for the multiplier. 2-68. (canceled)